Key points:• This article considers how the recent market turmoil affected national banking systems, thereby prompting state measures;• It describes the remuneration problems shown by the financial crisis: rewards for failure; short-term behaviour; inappropriate design of performance...

The purpose of this paper is to constitute a comprehensive framework of risk management and to explore the role played by internal auditors in the audit of risk management. The paper also, attempts to collect internal auditors' opinion regarding other factors on risk-management auditing, where...

Law enforcement has a vested interest in catching alleged money launderers. Suspicious Activity Reports (SARs) filed by financial institutions are a useful tool in this endeavor and can potentially direct law enforcement to criminal enterprises. But SARs are just that — reports of suspicious...

The Global Financial Crisis of 2007-2008 has demonstrated the fragility of prevailing corporate governance ideas and the weakness of legal means of minimizing risk and highlighting dangers in major banking corporations. Gatekeeper failure has undoubtedly been a significant contributor to this...

In the context of corporate governance reforms following the global financial crisis, policymakers have focused on how to reduce the bank manager' incentives to take risks in order to promote financial stability. On both sides of the Atlantic, legislation seeks to pursue this goal by enhancing...

This article presents a dynamic approach to liquidity based on uncertainty as conceptualized by Knight, developed in a theory of long-term expectations by Keynes, and applied to banking by Minsky. This perspective reveals that banks perform maturity transformation and create monetary liabilities...

The executive remuneration system in the financial sector requires significant improvements to increase disclosure and more closely converge shareholders' and depositors' interests. Executive remuneration practices have, therefore, been under review since the financial crisis of 2008. The...

This is a case study of the Bank of America and Merrill Lynch merger. It is based on the article, Fiduciary Exemption for Public Necessity: Shareholder Profit, Public Good, and the Hobson's Choice during a National Crisis, 17 Geo. Mason L. Rev. 661 (2010). The case study analyzes the...

What is a good and effective creditor protection system? Can a creditor protection system, understood as a variety of mechanisms employed jointly or individually to protect the interests of creditors, deliver for all creditors, or are there different systems of creditor protection needed for...